Are you approaching the cryptocurrency market with fear of being scammed? It’s a common concern, as many investors are sitting on the sidelines, missing out on the best-performing asset class in history due to a lack of proper guidance.
Scams are popping up in various forms, including those using the trusted faces of celebrities to take your money and pyramid schemes like Lionshares and Forsage.
Have you ever received an email from a famous person about an incredible money-making opportunity in Bitcoin?
It’s not uncommon, as celebrities like Mel Gibson and David Koch have reportedly reached out to explain how they earn cash outside their day jobs. It may sound too good to be true, but it’s important to remember that if something sounds too good, it often is.
One such scam may involve an initial deposit of 250 USD into an automated trading account and an overseas phone call with one of their consultants. They may promise that all the work will be done for you and that you can earn thousands in passive income that compounds daily. However, the reality is that trading is hard, and futures trading is even more difficult.
Even the most significant funds in the world with expensive high-frequency trading algorithms cannot guarantee returns of these magnitudes, let alone guarantee anything at all.
It’s important to approach any investment opportunity with a healthy dose of scepticism, especially when it comes to schemes offering compounding ROI (Returns on Investment). This is particularly true when it comes to Bitcoin trading platforms. It’s crucial to remember that critical thinking often goes out the window when the euphoria of a better life overcomes you, and it’s easy to get caught up in schemes that prey on your vulnerabilities.
These scammy emails hit our inboxes daily, and it’s alarming how similar, targeted, and polished these scams have become. Nefarious characters know they need to win you over, so they exploit elements of truth in their narrative, preying on what we know and hope to be true. But nothing is off-limits.
To legitimise their schemes, scammers often use fake testimonials from satisfied customers, like “Benny Barbeque,” who supposedly went from rags to riches thanks to their secret strategy.
They may even provide a how-to guide to get you started. But the reality is, these are all lies designed to take your money.
When it comes to investing in cryptocurrencies, it’s essential to do your due diligence and find a reputable and trustworthy source of information.
Refrain from taking financial advice from the internet, and always be wary of schemes offering unrealistic returns on investment. If something sounds too good to be true, it probably is.
Don’t let fear hold you back from exploring the potential of the cryptocurrency market, but be sure to proceed with caution and protect yourself from scammers.
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Joe Shew
Founder & CEO of Crypto Consulting Institute
Sam McDonald
Head Analyst